the only person alive who would pay 39 dollars a share for a company that has no earnings now and no earnings at any time in the foreseeable future is masayoshi son. and since he owns the company as certainly as i own the title to my car it would be like paying himself to buy back his own company....lmfao.
sprint has softbanks 80 billion behind it and as long as masayoshi is willing to pump money into it sprint is relatively safe but the moment he isnt its headed for bankruptcy court i think
not in the survey i saw. VZ was #1. ATT #2. TMUS moved up to #3 and S was badly behind. how much is sprint spending on CAPEX as opposed to giveaways and "disruptive pricing" ? if masayoshi was really planning on staying in the game he would be spending money on CAPEX rather than buying back the company stock if you ask me.
sprint undercut all rivals? sprint has the worst rated service of all 4 right now. if he wants to start undercutting he needs to put some money into CAPEX to compete with even TMOBILE which has passed them let alone megagiants like ATT and VZ which have 3 times the assets of softbank each. if sprint was intending to wipe out the competition why did it tighten its balance sheet by firing much of its sales force and closing down many of its outlets? if masayoshi has a plan to be competitive in the US market i have yet to see it.
the real question is when is sprint going to make any money? so far all of its attempts have been woefully inadequate. the plan of giving away the product to DTV subscribers doesnt seem smart. you lose money giving your product away hoping they will stay with you when they actually have to pay for it. like i said all this stuff about going private seems like a red herring if they havent got a plan to make money.
has never made money, is not making money now and never will make money. if you didnt have so many investment bankers out there smoking the stuff it wouldnt be selling for 112 dollars
a company with 10.8 billion in non cash assets, 2.35 million in cash and , 3.4 billion in debt. and you think you will get it for 5? if they sold the remaining assets in baaken, picenae and san juan and other holdings for 10 cents on the dollar they could get 5 bucks a share in a fire sale. the only way this stock will ever go to 5 is if this transaction completes and the permain deal is a total bust. i bet they could get more like 30 cents on the dollar AT LEAST for those assets which would give shareholders a one time dividend payout of $13.50 a share. (10.8AVX.3)/(.239(shares in billions))=one time payout to shareholders of 13.50
you need to wait until the firm has less cash in the drawer and more debt on the books before saying this 5 dollar stuff.
my brokerage account shows 8/5/2015 after the market closes. i have heard it reported when john says and i believe there will be a conference call where they talk about the 2nd quarter results.
unusual trend as they usually move together.. the recent ,merger/buyout by WPX was designed to move them away from gas into liquids. gas in europe is over 7 bucks a unit. gas is 11 bucks a unit in asia. gas under 3 bucks here in the US seems like an artificially low price to me. while i feel good about the merger i still think that some people are too pessimistic about the future of NG it is flirting with 3 bucks a unit now while oil is dropping at present.
since they bought out a private company and no one has seen the books but WPX management(i assume they have done so to take so great a leap forward) so it is impossible to know if the deal was a good one. obviously they gave up a lot. 2.5 billion is about the MV of the entire company right now. they got about 680,000 acres which comes out to about $4,000/acre which a reasonably good price. management claims this is primo real estate...i would have to trust them on that i suppose though i do know that eagle ford is one of the most cost efficient places to drill. the market is reacting favorably to the transaction and the fact that WPX is starting up rigs again must mean they can survive in this low oil price environment. either that or they are crazy.